Shares of G-III Apparel Group Ltd. fell Tuesday after the clothing maker reported a first-quarter loss, while analysts expected a profit, and an analyst downgraded the stock.

THE SPARK: G-III Apparel reported after the markets closed Monday that it lost money in its fiscal first quarter as rising expenses hurt its results. Its revenue rose slightly more than expected.

THE BIG PICTURE: Like most clothing makers, the company -- which holds licenses to make products under such brands as Calvin Klein, Sean John and Kenneth Cole -- is facing steeply higher cotton costs and gas and labor costs.

THE ANALYSIS: This was the second quarter in a row when its gross margins fell below expectations, Stifel Nicolaus analyst Jim Duffy said Tuesday morning. The company also faces rising costs and slowing sales growth rates.